Wednesday, October 1, 2008


The crack spread is taking a hit from its recent highs. This is not good for a the refiners. Again this isn't the actual crack spread, but i use it to show the direction of the spread.

Theses refiners just can't catch a break! Oil goes up, gasoline prices don't keep up; oil comes down, gasoline prices fall even faster.

The refiners look like they are on the brink for further downside.


Lower low next?


Looks very bad.


It is still within its range, but judging by other refiners, it should break down soon. If I was still bullish in this sector, this would be a very nice entry.


This one still looks somewhat bullish, pulling back to previous support and 50 DMA. But the upward momentum certainly is not there.

Oil is very confusing here. Reports show an increase in gasoline supply and decrease in demand. This is driving gasoline prices down big time, yet oil manages to trade with the market and participates in rallies.